Kenwood USA parent company to buy EF Johnson Technologies

Although EF Johnson and Kenwood USA will have a different focus from a technical-development perspective, the plan is to integrate the companies’ sales channels (EF Johnson emphasizes its direct sales force, while Kenwood USA has a larger dealer network) in a complementary way that generates more sales for both product portfolios, Rangarajan said.

“We will be able to have a shared dealer network that we can leverage across the companies,” he said. “So, in effect, there’s not going to be a merger of companies [with Kenwood USA], but it is going to be a merger of access to different portfolios within each brand.”

In addition, JVCKenwood plans to reduce costs for EF Johnson by leveraging its production capability, because EF Johnson has been using third-party factories, according to a JVCKenwood press release.